News

American investors can now trade cryptos without any prior knowledge of the market thanks to eToro USA. Active in the UK and Europe for more than a decade, eToro Exchange is a social trading platform that allows novice traders to stand on the shoulders of experienced investors.

Now live in 32 states, eToro USA currently offers markets for 13 cryptos, including Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Ripple (XRP). As the platform grows, more cryptos will be added to the mix. On top of that, traders can also test out the new eToroX Exchange for additional investment options.

Buying Bitcoin et al Using eToro USA

13 major cryptocurrency coins are available to US investors. Image: Immersion Imagery/Shutterstock.com

To show you how eToro USA differs from other exchanges available in the region, here are the important pros and cons.

eToro USA Pros

Simple Social Trading: The reason eToro Exchange appeals to novices is its ‘follow’ feature. Much like Twitter or Instagram, you can follow experienced investors and the site’s software will mimic their trades at a price point you select. This feature basically allows anyone to start trading cryptos without any prior knowledge.

Safe and Secure: Even though the top online crypto exchanges have become more secure, none of them are currently regulated in the same way as eToro. Being a financial trading platform that deals in multiple assets (not just cryptos), this company has to be licensed by multiple financial authorities. These regulations keep eToro, its financial liquidity, and processes such as ID verification in check at all times.

Accessible and Convenient Interface: As well as payment options such as PayPal and Visa, eToro USA has been refined over the last decade. This makes it stable, efficient and easy to understand. In contrast, Paxful Exchange has only been around since 2015. For developers to perfect their product in that amount of time is tough, which is why eToro wins in terms of accessibility and convenience.

Next Generation Trading: eToro USA is also behind a blockchain-based venture known as eToroX. A new type of exchange that offers crypto assets secured against stable coins, eToroX is next generation trading for advanced users.

Simple Wallet Solution: If you’re an eToro Gold member or higher, you can access a blockchain-based crypto wallet. Capable of holding multiple coins, including BTC, ETH and LTC, this wallet allows you to move tokens to and from your eToro USA account with ease. What’s more, when you download the iOS or Android app, you’ll receive a personal blockchain address (through the eToroX platform). This allows you to make on-chain transfers and store you private keys on the blockchain.

eToro USA Cons

eToro will work to add more altcoins in an ambitious attempt to catch yup to Kraken. Image: Lukasz Stefanski/Shutterstock.com

Fewer Coins: If you look at top-rated crypto exchanges such as Kraken, you’ll see that it lists more than 50 digital tokens. At present, eToro USA only has 13 cryptos to invest in. Although that list will grow, it will be a while before it catches up with traditional crypto exchanges.

A Difference in Deposits: Scroll through our list of places to buy Bitcoin and you’ll see that Coinmama, CEX, and Binance all have minimum deposits of $1. In contrast, eToro US asks you to deposit at least $500.

Higher Fees than Exchanges: Although fees will vary from site-to-site, you’ll typically pay around 0.1% each time you buy or sell digital tokens via an exchange. At present, eToro Exchange charges you $25 each time you make a withdrawal. Additionally, trading fees (spreads) are as high as 2.9%. This means novice traders may have to invest slightly more than they’re used to in order to make their time online worthwhile.

Local Restrictions: Because of regulatory issues in the US, eToro Exchange USA can’t offer contracts for difference (CFD) trading. This type of trading is available inside eToro’s international sites and provides a flexible way to speculate on price increases as well as decreases. At this stage, eToro USA only allows you to buy the underlying assets and not CFDs.

Market Experience: Although eToro Exchange has been active in Europe for years, it’s a newbie in the US. Because each country has its subtle differences in terms of consumer preferences, the operator may experience certain teething troubles as it adjusts to life in the USA.

eToro has entered the US market, the world’s largest multi-asset trading platform was the first to bring cryptocurrency CFDs to the masses and now they’ve brought their revolutionary social platform to the US.

The US has always been a key feature in the crypto market but this is likely to evolve further with the introduction of a platform that allows for the sharing of trading strategies and users to copy the profitable investors. Available in 32 states, it offers 13 cryptocurrencies including Bitcoin, Ethereum, Ripple, etc, with more expected to be added through 2019.

The functionality is simple and allows both new and expert investors to easily navigate the platform. Each account shares performance related information to the eToro community, this includes an investors track record (as a percentage), their portfolio and when they open and close a trade.

The information on show can help users make more informed decisions on their investments whilst the CopyTrader feature actually allows the user to allocate funds that will trade to the portfolio of another user.

This benefits both novice and expert investors. The reason being that the novice investors can copy the experts and simply profit from their trades. The experts then profit by being followed, the more followers the more they will earn. This automatically brings the already close knit community closer together and also bringing new traders to the crypto industry.

The US market is huge and whilst there are crypto traders active there, they have no access to the functionality that eToro offers.

eToro CEO, Yoni Assia, said: “For the first time, Americans can collaborate with other crypto traders when making buying and selling decisions. Users can adjust their trading strategies by watching and learning from others on the platform. When I founded eToro, I envisioned a community where people could trade, invest and share their knowledge in a simple and transparent way. eToro also acts as a bridge between the old world of investing and a blockchain-powered future, helping our users navigate and benefit from the transition to cryptoassets for wealth building. People create the eToro experience and now Americans will play a major role in shaping our community and future.”

As highlighted, eToro has led the way in the global fintech movement, it has a firm belief that the blockchain industry will disrupt the traditional global financial system and that at some point in the future, all assets will become tokenized.

The company is positioning itself to be the leader when it comes to helping users transfer their wealth onto the blockchain. This year they plan to launch their own cryptocurrency exchange which will make transactions easy and safe for users. eToroX is currently in its beta stage but expect to see this revolutionary platform live before not too long.

Mindexcoin (MIC), the Ethereum-based token that achieved a CoinMarketCap listing in 2018, is changing. After launching in December 2017 and successfully progressing through seven rounds of ICO funding, we are migrating to a custom-made blockchain. The decision to move away from Ethereum comes after a turbulent 2018 for the smart contract platform.

Network congestion and increasing fees combined with continued issues regarding scalability saw Ethereum crash in 2018. From a high of more than $1,300 at the start of 2018 to just over $133 at the end of the year, Ethereum lost its position as the second most valuable cryptocurrency.

With continued uncertainty as to direction Vitalik Buterin is going to take the blockchain, we have taken the executive decision to move.

Taking Charge of Our Own Fate

Because we want to ensure investors aren’t adversely affected by factors beyond ours or their control, we will relaunch our token on a newly formed network. After analysing the current models, Litecoin was chosen as the inspiration for the new Mindexcoin blockchain.

One of the cheapest, most efficient and stable blockchains for crypto payments, Litecoin technology is the perfect base for Mindexcoin’s token, payment system and overarching goal. In developing the blockchain, our team has taken the lessons learned from Litecoin and built a network that complements the Mindexcoin wallet and payment processing software we launched in 2018.

A Fresh Start Based on Solid Fundamentals

Those with MIC coins are instructed to deposit them into their MindexWallet by February 5. As a sign of good will during this transitional phase, all MIC balances deposited by the deadline will be multiplied by four.

Any coins that haven’t been transferred by the end of February 5 will become obsolete. Following the conclusion of the transferal process, new Mindexcoins will go on sale from March 20. The new tokens will be available through the MindexWallet at the market rate prior to the switch.

Moving away from Ethereum will not only protect the value of MIC but create one of the only complete systems in the industry. With a new blockchain adding to an already active wallet, payment system and token, Mindexcoin will stand out from its peers. What’s more, we’ll have much greater control of our own destiny. Mindexcoin has all the tools to succeed, something we believe investors old and new should benefit from in 2019 and beyond.

Investing is speculative. When investing your capital is at risk. This site is not intended for use in jurisdictions in which the trading or investments described are prohibited and should only be used by such persons and in such ways as are legally permitted. Your investment may not qualify for investor protection in your country or state of residence, so please conduct your own due diligence. This website is free for you to use but we may receive commission from the companies we feature on this site. Click here for more information.